Revenue Account Assignment
Concord Corporation has the following information available for accruals for the year ended December 31, 2020. The company adjusts its accounts annually. The December utility bill for $445 was unrecorded on December 31. Concord paid the bill on January 11. Concord is open 7 days is a Thursday, so employees will have worked 4 days (Monday, December 28 to Thursday, December 31) that they have not been paid for by year-end. Employees will be paid next on January 4. 1. a week and employees are paid a total of $3,780 every Monday for a 7-day (Monday-Sunday) workweek. December 31 2. 3. Concord signed a $47,400, 6% bank loan on November 1, 2019, due in 2 years. Interest is payable on the first day of each following month. Concord receives a fee from Pizza Shop next door for all pizzas sold to customers using Concord's facility. The amount owed for December is $260, which Pizza Shop will pay on January 4. (Hint: Use the Service Revenue account.) 4.
5. Concord rented some of its unused warehouse space to a client for $6,200 a month, payable the first day of the following month. It received the rent for the month of December on January 2. For each situation, prepare the adjusting entry required on December 31. (Round answers to 0 decimal places, e.g. 5,275. If no entry is required, select “No Entry” for the account titles and enter 0 for the amounts. Credit account titles are automatically indented when the amount is entered. Do not indent manually.) Account Titles and Explanation Credit No. Date Debit 1. Dec. 31, 2020, 2. Dec. 31, 2020, 3. Dec. 31, 2020, 4. Dec. 31, 2020, 5. Dec. 31, 2020, For each situation, prepare the journal entry to record the subsequent cash transaction in 2018. (Round answers to 0 decimal places, e.g. 5,275. If no entry is required, select “No Entry” for the account titles and enter 0 for the amounts. Credit account titles are automatically indented when the amount is entered. Do not indent manually.) Account Titles and Explanation No. Debit Credit Date 1. Jan. 11, 2018 2. Jan. 4, 2018 3 Jan. 1, 2018 4. Jan. 4, 2018 5. Jan. 2, 2018. Get Accounting homework help today